Ready to launch a charity auction? If you're new to the process, you might not realize all of your options when it comes to securing auction items to sell.
1. The traditional way is to ask friends, family, and businesses to donate an item.
This is the most common approach and generally garners you the greatest returns. The donor might give you a product from their place of business or agree to let you sell a one week stay in their vacation home. Of course, you can always ask for a cash donation instead, but some volunteers find it more comfortable to ask for a donation in-kind than to ask for cash.
There are various online sites where you can opt for a charity auction.
Advantage: These items are completely donated. If you sell an item for $500, your non-profit keeps $500.
2. Consigned items might be used to supplement your donated items.
A consignment company offers hundreds of ready-to-sell items for a reduced price.
Typically the charity pays only for the items that sell. If your charity opts to use 20 consigned items, but only 10 sells at the auction, your non-profit will pay for those 10 items purchased.
The difference between the consigned price and the sale price is what your charity keeps. So if the consignor offers you a signed painting for $500 and you sell it for $700, your charity keeps $200. You pay the consignor $500.